Market analysts detail why BTC bulls are eyeing the $80K milestone
Fresh capital flows into spot Bitcoin ETFs could propel BTC toward a price rally, with technical indicators pointing to a possible climb toward $75,000-$80,000.
During Wednesday's New York trading session, Bitcoin (BTC) reached the $70,000 price level as bullish traders aimed to capture sell-side liquidity.
Key takeaways:
- The BTC price needs to maintain support above the critical $68,000 trendline for sustained upward momentum.
- Traders are monitoring $80,000 as the next significant liquidation concentration point.
- Wednesday saw spot Bitcoin ETF products receive approximately half a billion dollars in fresh capital.
Critical weekly close needed above $68,000 for Bitcoin
According to TradingView data, the BTC/USD trading pair reached $68,480 on the Bitstamp exchange. This price point sits marginally above the 200-week exponential moving average (EMA), currently positioned at $68,338.
Market analyst Rekt Capital identified Bitcoin encountering resistance at this particular trendline, noting that the current recovery phase might transform into a "post-breakdown retest of the EMA into new resistance" when examined through the lens of previous price movements.
"The moment of truth is coming for Bitcoin," Rekt Capital said, adding:
"Bitcoin will need a Weekly Close back above the EMA and flip it into new support to go against the grain of history."
Taking a closer look at shorter timeframes, market analyst Jelle emphasized that Bitcoin's price must convert the 50 EMA (positioned at $68,000) on the four-hour timeframe into a support level to validate the ongoing recovery.
According to previous Cointelegraph coverage, if bullish traders successfully breach the 20-day EMA, which currently stands at $69,220, the BTC/USD pair could potentially advance toward $74,508, a level where selling pressure is expected to emerge.
Could liquidation cascades push BTC price toward $80,000?
Multiple market participants are forecasting a potential liquidity sweep where significant clusters of sell orders have accumulated above the $72,000 threshold.
Recent data from CoinGlass, a market monitoring platform, revealed that BTC price reached the liquidity concentration around $70,000, though the majority of order book depth remains positioned above current market prices.
Approximately $2 billion worth of sell orders are concentrated between the $72,450 and $75,000 price range.
Should Bitcoin breach the $75,000 threshold, it may trigger a liquidation cascade, compelling traders holding short positions to exit, which would propel the price toward $80,000, identified as the subsequent significant liquidity concentration zone.
"Bitcoin's liquidity hunt has only just started," analyst AlphaBTC said in his latest post on X, adding:
"Unless there is a catalyst to drop, I am expecting these higher levels to get run in the next few weeks."
Resurgent spot Bitcoin ETF inflows bolster BTC's bullish case
Institutional investor appetite appears to be resurging, as US-based spot Bitcoin ETF products have registered positive capital flows for two straight trading sessions, based on data compiled by Farside Investors.
Market participants contributed a combined total of $765 million into these exchange-traded products across Tuesday and Wednesday, with Wednesday alone accounting for $507 million in inflows, marking the largest single-day influx since Feb. 2.
"ETF inflows and short liquidations doing the heavy lifting," X user Raster said in a recent post, adding:
"This isn't retail FOMO, it's institutional accumulation with a technical breakout."
This intensifying demand-side momentum has the potential to elevate BTC valuations further, especially when coupled with increasing mainstream adoption and continued whale accumulation patterns.
